Journal of Industrial Engineering and Management Studies

Effect of different types of failure and repair policies in determining warranty policy parameters

Document Type : Original Article

Author

Ehsan MoghimiHadji

Department of Industrial Engineering, WT.C, Islamic Azad University, Tehran, IRAN

10.22116/jiems.2025.536603.1610
Abstract
Nowadays offering attractive warranty offers along with selling products become a common tool in marketing. Warranty offers make sure the customer about receiving some services in the case of product failure during its useful lifetime. On the other hand, they help manufacturers to protect their reputation in the case of product failure by providing repair services for their customers. In this study, a repairable product after initial performance test (which is known as the burn-in test) sends to the market with a non-renewable linear pro-rata warranty offer. If during burn-in test or warranty periods minor or major failure occurs, depend on the failure type, the product is repaired minimally, generally, or replaced. In this study, the cost model for these two periods is extracted and optimum values for the length of burn-in test and warranty period with the aim of minimizing average total cost from manufacturer perspective is obtained. In order to show the applicability of the proposed model, a numerical example is presented.

Keywords

Warranty
Minor and major failure
Minimal and general repair
Burn-in test
Journal of Industrial Engineering and Management Studies
Volume 12, Issue 2
December 2025
Pages 59-67

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